In part one of this story, we looked at the role of government-led initiatives in AI adoption and how they’re supporting climate change mitigation and adaptation. With AI adoption potentially contributing over 6% to the region’s energy GDP by 2030, the private sector is seeing the potential to aid governments in streamlining operations and contribute to this growth. Climate tech startups are increasingly using AI to optimize energy, mobility, and waste management, and deliver climate-positive solutions.
Smart mobility startups are banking on it: Filling a niche, smart mobility startups are jumping on the chance to aid governments in helping make roads safer, less congested, and more efficient. Saudi AI traffic security management startup Hazen closed a seven-figure seed round in 2019 from Aramco-backed Waed Ventures, which also committed a follow-on investment in 2021. Detroit and Dubai-based startup and MIT-spinoff AI mobility startup DERQ, which uses AI for traffic management and to facilitate AV adoption, raised USD 500k from Wadi Makkah Ventures in 2021. The V2x (vehicle-to-everything) startup allows vehicles to communicate with infrastructure, networks, other vehicles, devices and pedestrians.
And others are using AI to optimize grid-scale energy usage: Even as governments roll out smart metering systems, AI-enabled startups are offering smart metering systems to manage and reduce losses to optimize consumption on energy grids. Egyptian energy-efficiency startup Pylon — which closed a USD 19 mn seed round last year and took part in Y Combinator’s accelerator — has over 1 mn smart meters installed and operations in Egypt and the Philippines. The company services water and electricity companies, using data analytics and AI to help distribution companies reduce losses, increase efficiency, and improve their revenues.
Smaller scale energy consumption is also in the mix: Jordan’s Algebra Intelligence — selected among Forbes’ top 10 sustainable startups in the Middle East in 2021 — creates energy monitoring systems for consumers. Their product TaQTak monitors energy usage from solar energy systems, predicts maintenance, and monitors consumption. In May 2021, the startup raised USD 310k pre-seed investment in a round led by Oasis500, and was selected last year to take part in King Abdullah University of Science and Technology (KAUST) and Saudi British Bank’s (SABB) Taqadam Accelerator.
And wastewater treatment and water management: Saudi-based startup Hydrojeen helps users monitor water consumption in real-time with an alert system to detect leakages. The company raised an undisclosed pre-seed fund from angel investor Muhammad Abdul Aziz Al-Arifi in 2021. Lebanese startup Mruna — which uses IoT and AI to decentralize water treatment and make it more efficient — uses biomimicry, copying systems used in nature. Mruna’s decentralized tank-based system uses bacteria, microbes, fungi, insects, and plants in aerobic and anaerobic tanks to treat wastewater and remove toxic metals. The underground tanks are connected to a portal which hosts sensors and software for remote monitoring and central control of the system.
AI for waste management: UAE-based Norwegian startup Cycled Technologies launched Smart Bin Dubai in 2018, which uses AI and image recognition to sort and separate waste. Supported by startAD, the company informs users of their savings in terms of CO2 and offers them incentives, allowing them to accumulate points that can be used to draw prizes. Dubai also partnered up with US-based waste and recycling startup Bigbelly in 2018 to introduce smart waste and recycling management with a system that automatically detects and separates waste — in the bin. Lebanese startup Diwama uses AI to help waste sorting facilities optimize processes with three systems: one for waste analysis at material recovery facilities, a second for mobile apps and a third for bins.